GAP in technical analysis is identification of strength of the price movement that we have recognized when we adopted Dow theory or any price pattern movement. It is not a directional indicator but it only identify whether the stock is moving with strength or is it because of profit booking are so. If stocks opens below the previous days low that means gap down and if the stocks opens above the previous days high it means gap up.. There are 4 types of gaps, one Area Gap, Breakout gap, runaway gap and exhaustion gap.
, , Gap Analysis, Area GAP, BREAK OUT GAP, Exhaustion gap., gap up and gap down, Runaway Gap, strength indicators
